范围(计算机科学)
业务
产业组织
灵活性(工程)
产品(数学)
价值(数学)
范围经济
新产品开发
营销
电信
经济
计算机科学
规模经济
数学
机器学习
管理
程序设计语言
几何学
作者
Niloofar Abolfathi,Simone Santamaria,Charles Williams
出处
期刊:Management Science
[Institute for Operations Research and the Management Sciences]
日期:2022-01-01
卷期号:68 (1): 316-332
被引量:4
标识
DOI:10.1287/mnsc.2020.3913
摘要
This paper examines the relative advantages of single-product and multiproduct firms following changes in customer switching costs. Whereas a single-product firm can closely tailor offerings to customers’ needs, a multiproduct firm can create value for customers in the form of flexibility, allowing them to change between product varieties as preferences evolve without needing to switch providers. We argue that this value-creation mechanism is more effective when customers face high switching costs and explore this prediction in the mobile telecommunications sector, using an exogenous policy change (mobile number portability) that suddenly decreases customer switching costs. Our results reveal that when customer switching costs fall, multiproduct firms see lower growth than single-product firms, and entry with a multiproduct offering becomes less frequent than before. The study highlights how customer switching costs can enable or inhibit choices of firm scope. This paper was accepted by Joshua Gans, business strategy.
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